Walmart Advertising Guide For 2022: For Beginners

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Walmart advertising overview image

What is Walmart advertising?

Walmart.com is the world’s second biggest ecommerce platform after Amazon.com in the US. Walmart advertising enables sellers,vendors and brands to sell their walmart sponsored products discovered by unique visitors.

You can sell your product on Walmart marketplace by running highly optimised ad campaigns. In order to match your products with shoppers’ searches, a smart Walmart advertising strategy is very important and critical. It needs a lot of attention as in google ppc management.

Know what to do and where to focus your attention. you can get enormous selling results while having Walmart advertising.

Sellers and venders ask questions like: 

  • How much opportunity is there for third party sellers or affiliate marketing business on Walmart.com?
  • What are the types of Walmart advertising options Walmart has in it? 
  • How do Walmart advertising work with product catalog? 
  • How does the Walmart advertising strategy fit into an overall business strategy? 
  • What to do for getting maximum selling results by Walmart advertising?
  • How Walmarts current innovations can get benefitted to a business?

You will get the answers of each and every question in this guide. If you want to know the bidding process and keyword research. Go to this ppc management guide and get the best return on your advertising spend when you run the campaigns.

Why Go With Walmart advertising?

why to choose walmart ad campaign

If you want to expand and diversify your business up to multiple times then you can’t escape Walmart advertising. Walmart advertising provides great opportunities at a very vast level for every ecommerce business type.

You will get enough room to grow in Walmart marketplace. Have a look at Walmart’s some special and magical parameters which makes it unique in the marketplace.

  • Walmart.com is the second-largest ecommerce marketplace in terms of volume in the US.
  • Walmart has more than 150 million omnichannel shoppers showing their presence weekly.
  • Walmart’s provides its own brand loyalty for the pro sellers.
  • Walmart has New audiences with huge buying potential.
  • Walmart.com offers less Competition as compared to amazon.com.
  • Walmart makes it easy for 3rd party sellers or affiliate marketing to be successful
  • ROI with Walmart advertising is great for your business 

Features of Walmart that can boost your Walmart advertising?

features of walmart.com

Walmart’s brand loyalty

In Spite of Amazon being the largest ecommerce marketplace, Walmart having the largest retailer networks in the US. This is because of its strong presence  and great innovative features.

Walmart’s online marketplace is growing very rapidly year by year. ebay.com was the second largest ecommerce website after Amazon but Walmart has beaten it with its great features.

Walmart ranks your sponsored ads on the basis of your brand loyalty score, so if you get Walmart brand loyalty i.e the trust you gain from your customers by selling on Walmart.com, you’ll get benefit from it when you sell your Walmart sponsored products. 

Walmart provide pro seller badge

Every consumer always makes a purchase for any product. If your product wins the trust with its all featured dimensions. Reviews are a great and relevant example of this, along with the seller’s reputation in the marketplace i.e brand awareness.

Walmart provides pro sellers badges and helps to stand out from the sellers crowd. These pro seller badges appear on the product page, along with the search results page. The pro seller badge gives assurance to the consumers for delivery time, product price and product quality.

The requirements needed for sellers to get a pro seller badge from walmart. They are as follows:

  • The Quality score must be at least 50% for more than 60% of your trending items you have uploaded.
  • Delivery defect rate should not be more than 5%.
  • Your product cancellation rate should be 1% or less.
  • Your each and every product should have an offer to return online or in shop without any charge.

Walmart advertising provides New audiences to sell walmart sponsored products

Number of people shopping online is increasing day by day at a very rapid rate. Walmart audiences are more unique. Its 40% users coming under the age range of 20-30 years. Walmart have its 35% users with high income level i.e they are millennials.

This feature of Walmart makes it a very unique platform as compared to other ecommerce platforms. Walmart’s users  spend more than $550 billion every year and approximately 50% of this spend comes from online marketing.

Over half of Walmart’s online customers are married or partnered. Almost all of them have children. They don’t have enough time to visit shops so they depend on the internet for everyday purchases. More than 60% of Walmart’s online shoppers are homeowners with medium to high household incomes. 

selling products with new audience type

More number of In-grid walmart sponsored products placements in Walmart advertising zone

Walmart has started working on a customers approach for expanding-out both its Marketplace and advertising ecosystem. The Walmart’s goal and innovations is differentiating Walmart advertising from other marketplaces. It has a more curated network of sellers and buyers , along with consistently relevant search pages which makes it differ.

Walmart advertising can take you to the huge audience eye. But there is a limit of advertising products that you can’t advertise on every slot within the grid. Still you can advertise very effectively because these are very small. 

When Walmart advertising began initially, it was only appearing in a few selected possible slots within the ‘grid’. Now ads can appear at any position on first page of the search results. It has a limit on total sponsored items per page. The exact position sponsored ad is determined based on its relevancy and bid amount.

Each and every single product can only appear once on a given search result page (either organic or paid). Walmart advertising is great for its features and innovations. Sponsored Products appear (and you’ll only pay) if it would match or have high rank from your organic placement.

Less competition on walmart.com as compared to amazon.com

World’s biggest ecommerce website Amazon.com has more than 10 million sellers which is a very huge and terrible figure for the consideration of competition . On the other hand, Walmart.com has less than 100,000 sellers. It provides a lot of room for the sellers to grow, and competition fades away gradually with less difficulty.

Walmart advertising and its marketplace continues to grow. It has become a brand and is now going ahead to make a long jump in the e-commerce world. The competition is still relatively low in marketplace. It has Fewer third-party sellers along with more than 100 million visitors a month to Walmart.com.

Walmart sponsered products allows affiliate marketing for the third party

marketplace on walmart has made it very easy for third parties. They can start selling or doing affiliate marketing on the online marketplace. Walmart doesn’t charge monthly or initial setup fees, unlike Amazon, Etsy, and eBay, and others.

Sellers or merchants are charged a category-specific commission on sales. They make profit on Walmart.com by organic search or by paid Walmart advertising and pay some part of profit. The margin or commission rates depending on the category (vary between 6-20%).

This amount is called a Referral Fee or affiliate charges. Referral fee is calculated as a percentage of the gross sales from each item. 

you have to list your products on Walmart.com. Walmart takes your products to their affiliate or relevant websites like Shoes.com, Moosejaw.com, and more which are having Walmart membership. 

Selling on Walmart marketplace by Walmart advertising becomes very easy. The big retailers have made dramatic improvements to their consumer-problems facing on websites. The retailer’s great mobile app is a great feature of Walmart.com.

Fast page checkouts with a myriad of payment options (Paypal included) is also a second one great feature. These are some reasons that Walmart is now the second-largest ecommerce site in the US.

Walmart advertising provide shopify integration

integration of walmart with shopify

Walmart’s goal is to only have reputable and active sellers or merchants listed on its marketplace. In order to do this, Walmart has reduced its requirements. You need to be a seller with a history of selling on ecommerce sites. Applying to sell on Walmart.com no longer exists as a headache.

Walmart made this a bit easier for direct-to-consumer merchants to navigate by integrating with Shopify. 

Shopify store owners can install the Walmart Marketplace app from Shopify’s App Store. They can determine whether they are eligible for selling on Walmart or not. After getting approval, you can add any number of products you want to add from your ecommerce site directly. It automatically imports your products data like product titles and images,etc.

If you make changes to a listing. These changes will automatically get reflected on Walmart’s database assigned for your product catalog. Additionally, You can increase your sales by Walmart advertising paid campaigns from shopify admin dashboard directly. 

Want to get shopify services from zworthkey have a look on our shopify services page to get more clearance.

You can use bid multiplier & first price auction feature of Walmart advertising

For Walmart advertising automatic campaigns, you can increase the chance of grabbing top and most responsive placements. Some placements are search in-grid and Buy Box banner using bid multipliers.

With automatic campaigns, you are allowing Walmart to place your ad campaigns where it can give best results. But bid multipliers give you more control in terms of campaigns you want to select. It prioritize for specific, higher-profile placements.

Amazon uses second-price auction which creates a lot of difficulty for the sellers to get higher rank on search result page. Walmart advertising operates on a first-price auction. If you bid the highest amount on the ad,your sponsored ad wins the auction. You have to pay whatever that highest bid amount was, whenever your desired action triggered.

The advantage of second-price auction is that it allows you to potentially take advantage of competitors’ underbidding on a keyword. If your competitor’s amount is low then you will win this ranking race. On the other hand, first-price auction has advantages in terms of more accuracy. It reflects how you value a given click when you place your bid.

some important parameters from walmart

Just have a look at this example to get a better clearance. With a second-price auction, You bid $2.00 but only pay $0.71 because your next closest competitor bid amount was $0.70.

But this can arise as an issue  if your nearest competitors increase their bid amount at once, it will increase your bidding costs that may not accurately reflect the value you place on that keyword.  So Walmart advertising needs bidding techniques very smartly.

With a first-price auction, sudden increament of bidding is key to Walmart advertising good results. Increase the bid amount upward slowly. Just keep your eye on metrics like conversion rates and conversion volume. You can properly determine the value of a given keyword, keeping win rates high. This is something Zworthkey helps with as part of our Walmart offering.

Great bidding control on walmart sponsored products

Amazon uses a second-bid model. You should know If you have ever run an ad campaign on amazon. The auction winner pays just one cent more amount as compared to the second highest bid amount of your competition. But in Walmart advertising the first-bid model is used rather than using a second-bid model like amazon. This is very tricky to manage. 

Bidding control on walmart advertising

This requires you to pay the amount that you bid when you won the keyword bidding auction. Therefore bid smartly not blindly. If you’re not carefully monitoring your ad campaigns, you will lose your money unnecessarally.

Walmart ad campaign types on control basis

Walmart advertising Campaigns are broken down into two main targeting types – auto and manual. Automatic ad campaigns you create match with consumer searches based on your campaign relevancy  which is determined by information of products you have listed within your product catalog and bid.

Manual campaigns give maximum control of your Walmart advertising campaigns. It allows you to control which search terms you want to bid on by entering keywords into those ad campaigns. 

At Zworthkey, we perform deep research before approaching automatic campaigns or manual campaigns. Automatic campaigns enable you to understand the search behavior of your audiences. Find new keywords that can lead to conversions for your ad campaigns. But automatic campaign approach gives very less control in your hand.

Manual campaigns are most suitable  for applying the knowledge you have gained in auto campaigns and from other sources by specifically targeting keywords that have proven their effectiveness in previous Walmart ad campaigns. It’s good to use both ad types simultaneously and strategically to get better sales results..

There are two main campaign types that you can choose from for your products, these are as follows :

Manual walmart sponsored products

Manual campaigns give you maximum control over your Sponsored Products ad campaigns metrics. You can decide and select the match types (exact, phrase or broad). Select keywords to bid on according to your research data.

Use Walmart’s Keyword Analytics by using its keyword research tool or any other keyword research tool to identify high-value keywords. You can select individual CPC bids and update them according to your requirement. You can get access to in-grid placement only.

Automatic walmart sponsored products

Walmart advertising Automatic options give you very less control on your hand but great exposure. Automatic option is  best for those who are just getting started with Walmart ads  for the first time and/or do not have enough experience along with enough time to check regularly or optimize the ads.

You can launch your campaign very smoothly and quickly. All you have to do is just enter the required  information about products. Walmart’s search algorithm will handle everything from keyword management to bid adjustments. Hence don’t worry much about the internal campaign optimisation. Automatic campaign type gives you access to the search in-grid placement in walmart.

The Benefits of Advertising on Walmart’s Marketplace

benefits of walmart.com

Walmart advertising provides the power to your ecommerce business to reach out at the top of search results pages. More specifically, Your Walmart ad can appear on some preset or predefined pages of walmart.com as given below. 

  • Search results
  • Product pages 
  • Category pages 

You can pump out your business by using Walmart advertising tools as a new seller. Get the bulk sales on new or slow-moving products. Walmart advertising brings your products in front of potential buyers. Just make your bid amount is more than that of your immediate competitor.

“Advertising on Walmart gives the worth of your ad spend if you are selling your products on walmart marketplace. Zworthkey’s ppc management expert “Durgesh Dwivedi” says. If you bid smartly and spend a handsome amount of ad budget. Walmart starts considering it as a most relevant for user perspective.

Your ads will rank organically rather than paid ads. Your ad campaign triggered out only if your competitor’s ads start doing well. 

Some important researched data

Durgesh notes that his team brings good sales results with an average ROI increment of 130% in march 2021. Today, his team improved the average value and increased by 17% .He managed more than 20 clients with unexpected sales results.

Walmart advertising is not only used to drive maximum sales but also to collect the maximum information of hot and cold audiences or customers . 

Walmart advertising makes you able to identify the shipping speeds, products prices response, ad and product data copy adjustments. Along with these many other factors move your products at the top of the search result page. 

Who should advertise on walmart?

Walmart advertising is specially best fitted to marketplace sellers, vendors, merchants and agencies. Walmart advertising can be used for products that are in stock and win the buy box. 

In order to get placement on In-search grid place, your product must fulfill  the below criteria: 

  • Your products must appear within the top 130 organic search results
  • It must come under the same category of products as a query searched by the customer.
  • It should match product type In-search grid place and comes under the top 20 non sponsored products rank.
  • Your sponsored products must have high rank as compared to non-sponsored product rank. It will take your product to appear on predefined sponsored placements.

Apart from the above criterias there is one more important point you need to fulfill  in order to use Walmart advertising as given below.

You must be the seller on Walmart, if you are not then you can’t advertise on walmart marketplace. Another thing is that you have to spend at least $100 per day or $1000 per month. But this amount is not your ad budget because your ad budget depends on your CPC.

How does Walmart advertising work?

working of ad campaigns

Walmart advertising has a lot of similarities with Amazon advertising, but along with these similarities some important differences are also there  that you need to understand to succeed as a Walmart advertiser or Walmart seller.

The main ad types on Walmart advertising are search ads and display ads. But both are also known together as Walmart sponsored products.

Walmart advertising  enables you to promote your products within the search results page and brings at maximum possible top ranking on Walmart.com.

It is a PPC auction i.e more you bid the higher the chances to rank on search result page. You’re competing against other Walmart sellers who are bidding on the same search or keywords. You will  pay only when a shopper clicks or performs your desired action  on your sponsored product.

Sponsored products can appear in search results, on product detail pages, checkout pages, browse pages, and on category pages. Search in-grid ads can appear anywhere on the first three pages of search results. But with a maximum number of six sponsored products per page.

Sponsored products can appear below the buy box in the buy box banner On the product detail page.  The carousel sponsored products can appear on browse, category, and product detail pages. Here shoppers can explore by scrolling among similar products as like your.

Types of ads available on walmart.

Search In-grid (Manual and Automatic)

Search in-grid ad types show your sponsored products on the first page of the search result page. It appears for relevant keywords entered by the customer as a search query. Your sponsored products can appear within the first 12 results for keyword searched, category and product pages. However, Walmart will only highlight two Sponsored Products at a time on the search result page.. 

Walmart avoids your sponsored products to appear twice or more on search result pages between paid advertising and organic search.

Buy Box (Automatic Only)

The buy box is located on product pages. Here sponsored products may appear below the box on relevant or complementary items. Buy box placement works best to get maximum sale results. At this placement most of the customers are ready to make purchases. Only your sponsored products have to appeal with its best offers and benefits for customers in order to convert them.

Walmart Carousel sponsored ads are very effective and the simplest out of the three sponsored ads. Carousel sponsored products do not not rank within the top 130 sponsored products to appear in front of the customers . This type of ad placed your product into a scrollable carousel of similar items which belongs to your product category. Carousel can have only a maximum of 28 products at a time.

How to create walmart sponsored products ads on Walmart.com?

If you fulfill every criteria of Walmart advertising and you’re ready to get started with your first Sponsored Products campaign. You can create your own Walmart advertising account to serve by yourself. You can also use the panel of a third part Walmart advertising account.

how to advertise on walmart

For self-service, you have to contact Walmart Media Group by filling out this form or email on WMG_info@wal-mart.com. You’ll have to provide your basic company or online store information, as well as target audience, tax ID number,  primary campaign objective and anticipated budget (among other details).

Note: If you work with Zworthkey and become a regular client. You will get additional 30% off on your every sponsored ad campaign management cost and lifetime tool access.

For third-party access, get in touch with one of Walmart’s four official advertising partners: Zworthkey, Flywheel Digital, Kenshoo and  Pacvue. 

Zworthkey provides proper guidance to sell on Walmart marketplace, it makes the process very  simple and doesn’t take many steps. As we have mentioned earlier, there is no need to pay a single dollar to list  your products on the Walmart platform; only Walmart will deduct referral fees from your product sales, depending on the category of the product.

8 steps to setup your first Walmart sponsored ad campaign

Step-1 :

Select out of the two options according to your requirement. You can sign in as a seller on Walmart Media Group’s (WMG) advertising platform or can sign in as customer.

landing page for walmart sponsored products ads

Step-2 :

Now go to the “campaigns tab” and select “create new campaign.”

 campaign section to start creating walmart sponsored product ads

Step-3 :

Now select the targeting option for your campaign. You will get two options to select. It is up to you whether you want to set up a manual or automatic campaign.

campaign targeting prefrences for walmart sponsored products

Step-4 :

Now in this interface you will get details and budget setting options. Enter your campaign name as well as start date to launch your campaign from your desired date. Now select your total budget and daily budget. Before deciding this factor there is a need to go for some background research.

Minimum ad budget should be $100 or more and daily budget should be atleast $50.

walmart advertising budget setting

Step-5 : (Optional, only applies to manual campaigns)

Here you will have additional features of Walmart advertising. You can select your sponsored products placement but this feature is available only for manual campaigns not for automatic campaigns.

Go for the manual option if you have good experience on Walmart advertising. Otherwise go with the automatic option because automatic option will optised your ad to perform best. You have two placement type options to select, known as Search Ingrid and Search Carousel.

Search Ingrid is turned on by default and cannot be switched off but the second option is optional. You can turn it on or off but carousel is highly recommended to expand your sponsored products reach. You can only applies to keyword based campaigns.

placement type of walmart sponsored products

Step-6 : (Optional):

Bid multipliers are optional but play a major role on your sponsored products ranking. In a case if your bidding amount is not performing well as like your immediate competitor. Your bid multiplier will increase your bid amount and ad ranks automatically.

You can use bid multipliers to show your ads on buy box and search ingrid placements. Device targeting can be done as you want to show your sponsored ad on like desktop, mobile and Web.

You can put a bid multiplier on the Buy Box placement (for automatic campaigns only) and Search Ingrid placements. 

bid multiplier option for sponsored products

Step-7 :

Create the desired ad groups you would like to include in your sponsored products campaign. Enter an ad group name and add the items (products)on amazon listings that you would like to advertise.

Follow the last step If you’re setting up an automatic campaign. But escape it if you are setting up a manual campaign. Group at least 15-25 items together in an ad group for automatic campaigns (highly recomended). You can collect enough data of campaign metrics performance.

ad group name sectionin  sponsored products

Step-8 : (Manual campaigns only)

At this place  you enter your desired keywords to get on the search result page. Therefore You can utilize the suggested keywords that Walmart recommends on the basis of your product category and type. Second option is “upload your own keyword list if you have already. Now select the bidding amount very carefully after doing some background research”.

Walmart advertising differs from other platforms like Amazon and Google. Therefore It has a first price auction system rather than second price auction. Let us take an example to understand it, suppose if you set your CPC at $3 and the second-highest bid set by your immediate competitor  is at $2.5, then you would pay $3 on Walmart but only $2.51 on Amazon.

So decide your bidding amount very wisely don’t bidd very far from second highest bid amount.

keywords selection in sponsored products

Why work with Zworthkey to manage your Walmart ads

After reading the complete guide you still can’t do everything because it needs some experience. Don’t go with yourself if you are new with Walmart advertising otherwise you will lose your money with null ROI.

Zworthkey’s digital marketing team is ready with its more than 6 years of experience. It will help you out so  get free consultation and start once you are fully satisfied. As part of zworthkey’s services offering, you can get multiple benefits at this time. Zworthkey is celebrating its anniversary chunk.

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